The easy-money mindset that pervaded everything from subprime mortgages to private equity has faded, leaving many Wall Street watchers fearful of a credit crunch that might take down the economy. So how can you protect your portfolio?

While most money managers think the broader markets and the economy will ride out the choppiness, they suggest some defensive moves until things settle down. Of the dozens of top managers surveyed by BusinessWeek, many were trimming back their stock exposure in certain areas, boosting their cash holdings, and heading to safer ground with higher-quality bonds. "We just told our people this is no time to be a hero," says David Darst, chief investment strategist for Morgan Stanley's (MS ) Global Wealth Management Group, who recently raised his recommended cash position a couple of percentage points to 13%. Here's a look at how the smart money is playing the market:Read full article on BusinessWeek:http://www.businessweek.com/magazine/content/07_33/b4046614.htm